Melatonin, an indoleamine widely found in animals and plants, is considered as a candidate phytohormone that affects responses to a variety of biotic and abiotic stresses. In plants, melatonin has a similar action to that of the auxin indole-3-acetic acid (IAA), and IAA and melatonin have the same biosynthetic precursor, tryptophan. Salt stress results in the rapid accumulation of melatonin in plants. Melatonin enhances plant resistance to salt stress in two ways: one is via direct pathways, such as the direct clearance of reactive oxygen species; the other is via an indirect pathway by enhancing antioxidant enzyme activity, photosynthetic efficiency, and metabolite content, and by regulating transcription factors associated with stress. In addition, melatonin can affect the performance of plants by affecting the expression of genes. Interestingly, other precursors and metabolite molecules associated with melatonin can also increase the tolerance of plants to salt stress. This paper explores the mechanisms by which melatonin alleviates salt stress by its actions on antioxidants, photosynthesis, ion regulation, and stress signaling.